November 13, 2026

Future Energy Source Company Limited (FESCO)
Unaudited financials for the six months ended September 30, 2026:

Future Energy Source Company Limited (FESCO) for the six months ended September 30, 2026, reported a 37% increase in Revenue totaling $21.37 billion compared to $15.61 billion in the corresponding six months last year. For the second quarter alone, revenue grew 33% to $11.15 billion (2025: $8.39 billion), which management attributes to higher fuel supply prices, increased volumes, growth in the FESCO station network and expansion of LPG and commercial sales.

Cost Of Goods Sold amounted to $20.13 billion (2025: $14.62 billion), an increase of 38% year over year. Consequently, gross profit increased by 24% to $1.23 billion compared to $993.96 million for the six months ended September 30, 2025. Gross profit margin compressed to 5.77% from 6.37%, which management links to industry-wide declines in retail fuel margins, heightened competition and higher acquisition and logistics costs, with the average Petrojam supply price for 87-grade fuel in the second quarter at $202.91 against $159.84 a year earlier.

Other Income increased by 105% to $20.85 million (2025: $10.16 million), while Impairment losses on financial assets increased by 228% from $6.10 million to $20.00 million. Operating and Administrative expenses increased by 18% to $687.50 million (2025: $580.25 million), led by Staff costs, which rose 27% to $258.89 million. Operating and administrative expenses represented 55.78% of gross profit, compared with 58.38% in the prior-year period.

Consequently, Operating Profit for the six months ended September 30, 2026, amounted to $545.98 million, a 31% increase relative to $417.78 million reported in 2025, on an operating margin of 2.56% (2025: 2.68%). Net Finance Cost totaled $132.22 million, an 82% increase from the corresponding period last year (2025: $72.58 million), reflecting greater use of growth and working capital facilities, debt funding of infrastructure investment, and the refinancing of the $700.00 million Bond #2 (7.5%) with the $600.00 million Bond #3 (9.5%).

Profit before Taxation for the six months ended September 30, 2026, amounted to $413.77 million, a 20% increase relative to $345.19 million reported in 2025.

A tax charge of $51.72 million was incurred (2025: nil) following the commencement of corporate income taxation after the expiry of the Company’s tax incentives. As such, Net profit for the six months amounted to $362.04 million, a 5% increase from the $345.19 million reported in 2025.

For the second quarter, Revenue was $11.15 billion (+33%), Operating Profit was $315.45 million (+27%, 2025: $249.04 million) and Net Profit was $215.46 million (+5%, 2025: $205.82 million) after a quarterly tax charge of $30.78 million (2025: nil).

Consequently, Earnings Per Share for the six months amounted to $0.1448 (2025: EPS: $0.1381). The twelve-month trailing EPS was $0.27, and the number of shares used in these calculations was 2,500,000,000.

Notably, FESCO’s stock price closed the trading period on November 13, 2026, at a price of $3.66 with a corresponding P/E ratio of 13.38x.

Balance Sheet Highlights

The company’s assets totalled $6.92 billion (2025: $5.99 billion). The growth in total assets was primarily driven by a $377.83 million or 9% increase in ‘PPE’ to close the period at $4.73 billion, alongside a 39% increase in Trade and other receivables to $1.10 billion (2025: $789.13 million) and a 10% increase in Cash and cash equivalents to $305.33 million (2025: $278.62 million). Long term loans rose 9% to $1.94 billion (2025: $1.77 billion) and the bank overdraft rose 63% to $340.55 million (2025: $208.65 million).

Shareholder’s equity was $3.68 billion (2025: $3.06 billion), representing a book value per share of $1.47 (2025: $1.23).

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